Swiss companies are planning to increase salaries by an average of 1.4% for 2025, excluding inflation. This is higher than the average increase of 1% seen over the past decade.

The IT and telecommunications sectors are expected to have above-average increases of 2%, while the media, building materials, and retail sectors anticipate lower increases of around 1%. The projected wage increases across 22 sectors are expected to be higher than the expected inflation rate of 0.7%.

Experts from UBS attribute the stable inflation outlook to declining electricity prices and a potential reduction in the benchmark interest rate. The anticipated real wage growth is expected to boost consumer spending next year, although rising health insurance premiums and a slight increase in unemployment may moderate this effect.